Japan May Ease Their Token Listing Process

Currently, the process for listing a cryptocurrency token in Japan takes 6 months or more before an issue of approval, with no guarantees of approval. Japan’s Prime Minister Fumio Kishida expressed discontent for the current process, stating that it stifles the crypto economy.

Japan’s Virtual and Crypto Assets Exchange Association (JVCEA) was formed in April 2018 amid a $500 million hack on exchange Coincheck. The JVCEA will hold discussions and announce a decision by the end of the year. This listing requirement directly resulted in GMO Coin (Japans largest exchanges) to only have 21 crypto tokens available for trading. The Prime Minister listed that “this ultimately stunts the growth of crypto exchangers and the country’s broader digital ecosystem.”

Kishida also added that JVCEA should consider easing the screening process while also installing structures to protect users and investors. Since the system was initially put in place for security, that idea should still be present even if the process for listing changes. Although cumbersome, this process must have limited the number of scam tokens from releasing in Japan.